I suppose another question that goes through my mind and maybe...

I suppose another question that goes through my mind and maybe hopeful can answer this why has the company resorted to a structured placement facility to raise money?

I don't think a seasoned Director like Jim Wall would simply wake up one morning and decide that he wanted to go rogue, shun the established principles of capital raising and align himself with a structured placement group as a first choice.

I would like to believe that Jim Wall and the board exhausted all avenues trying to raise money before deciding on the path they took and because I am of that view, it further adds to my opinion that the situation must be quite bad indeed.

Given the tight relationship they have with Quintana, why wouldn't they get an additional loan from them. The Quintana guys sit on the board and if the resource is as good as some here believe why wouldn't Quintana take the opportunity to get a bigger piece of the pie? Hopeful, you did say you thought they were pretty smart right? Is it possible they have made a smart decision and decided not to throw good money after bad?

The company must have spoken to brokers and other financiers who would have analysed the operations, the resources and potentially built financial models before deciding what they would do. if I am right, then on completion, the brokers said no.

The company presented at investor forums and still was unable to attract a substantial investor and again in my opinion it is because on careful analysis the story only stands up as a punt for a few bucks but not for millions.

The structured placement facility takes advantage of the retail market. Note that there has been no substantial shareholder notices since August 12th and that one was a ceasing to be a substantial shareholder notice. What this tells me is that there is no doubt that the dumping is happening to retail punters swept up in the hype and without the resources to do proper analysis and in any event are happy to take the punt for a few dollars.

So what I have discovered about the KBL forum is that people are happier focusing on the positives so with that in mind i say the following;

Thank you for doing your research on forums and joining all the disparate dots in a positive way notwithstanding the overwhelming tell tale signs an overvalued enterprise (KBL is circa $65-70m), Thank you for choosing not to believe that secured creditors have to be repaid if there isn't enough free cash flow. Thank you for helping the company to stay alive and make my decision to invest in the company some time in the future easier (if ever) The note holders that are owed $13m thank you. Quintana thanks you and of course management and staff thank you.

I promise, only positive stuff from me now on